NEW YORK (Reuters) - The dollar rose against the safe-haven Japanese yen and Swiss franc on Tuesday while the Mexican peso and Canadian dollar gained as investors upped their bets on a win for Democrat Hillary Clinton in the U.S. presidential election.
Market sources cited projections from data firm VoteCastr favoring Clinton in a number of key battleground states as moving the cluster of currencies. A victory for Republican Donald Trump, viewed as unpredictable by investors, would be expected to drive capital into the perceived security of the Japanese yen and Swiss franc. Trump has pledged to renegotiate the North American Free Trade Agreement with Mexico and Canada, a move that could damage both export-heavy nations' economies. "The whole pro-Clinton trade in FX started to move in concert – Mexican peso, Canadian dollar, Japanese yen all went to session highs or session lows - and that's mainly because VoteCastr released projections that Florida was trending (Clinton's) way," said Boris Schlossberg, managing director of FX strategy at BK Asset Management."Florida has always been the main pivot in this election and the fact that she’s trending strongly so far is really what it all comes down to."The dollar rose as high as 105.19 yen, its highest against the yen